Pavane Company recorded the original issuance of its $ 10 par value common shares as follows:

Required
Provide the journal entries for the following transactions.
a. Pavane bought 95,000 shares of common stock as treasury shares at $ 55. It used the cost method to account for treasury transactions.
b. Pavane declared a $ 5 per share cash dividend.
c. Pavane sold 22,000 shares of treasury stock at $ 76.
d. Pavane sold 61,500 treasury shares at $ 38.
e. Pavane paid the cash dividend.

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Account Debit Credit Cash 8,750,000 Common Stock 1,950,000 Additional Paid-in Capital in Excess of Par- Common 6,800,000